Senate File 2294 - Introduced SENATE FILE BY BOLKCOM A BILL FOR 1 An Act relating to the establishment of energy districts. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 5690XS (3) 86 gh/sc PAG LIN 1 1 Section 1. NEW SECTION. 385.1 Definitions. 1 2 For purposes of this chapter, unless the context otherwise 1 3 requires: 1 4 1. "Board" means a board of directors of an energy district. 1 5 2. "District" means an energy district created pursuant to 1 6 this chapter. 1 7 3. "Energy improvement" means construction, rehabilitation, 1 8 acquisition, or modification of an installation in a facility 1 9 that is intended to reduce energy consumption or energy costs, 1 10 or both, or allow the use of alternate and renewable energy. 1 11 Sec. 2. NEW SECTION. 385.2 Energy districts formed. 1 12 1. A county, a county and one or more cities within that 1 13 county, or one or more cities in the same county may create, 1 14 by chapter 28E agreement, an energy district pursuant to this 1 15 chapter. A city located within the boundaries of more than one 1 16 county is eligible to participate in a district formed from one 1 17 of the counties where the city is located, and the district 1 18 shall serve the entire city. 1 19 2. The chapter 28E agreement shall include a map showing the 1 20 area and boundaries of the district. 1 21 3. A county or city is not required to participate in a 1 22 district or be a party to a chapter 28E agreement under this 1 23 chapter. 1 24 Sec. 3. NEW SECTION. 385.3 Duties. 1 25 An energy district may perform all of the following duties: 1 26 1. Provide technical assistance and energy planning 1 27 services to residents within the district relating to 1 28 opportunities for energy improvements, including identifying 1 29 sources for financial assistance. 1 30 2. Monitor and establish goals for energy usage and 1 31 production in the district. 1 32 3. Assist with compliance of the state building code energy 1 33 conservation requirements. 1 34 4. Take any action consistent with the goal of the state to 1 35 efficiently utilize energy resources in accordance with section 2 1 473.3. 2 2 Sec. 4. NEW SECTION. 385.4 Board of directors. 2 3 1. A district shall be governed by a board of directors. 2 4 If a district is created by one county or one or more cities, 2 5 the members of the board of directors shall be appointed by 2 6 the governing body of the county or city, as applicable. If a 2 7 district is created by a county and one or more cities, members 2 8 of the board of directors shall be divided among the county and 2 9 cities participating in the district and shall be appointed by 2 10 the governing bodies of the participating county and cities. 2 11 2. A board of directors shall consist of residents of each 2 12 county or city participating in the district. The chapter 28E 2 13 agreement shall specify the composition of the board and the 2 14 number of members on the board, which shall not be less than 2 15 three. 2 16 3. The directors shall serve staggered terms of four years. 2 17 The initial board shall determine, by lot, the initial terms 2 18 to be shortened and lengthened, as necessary, to achieve 2 19 staggered terms. A person appointed to fill a vacancy shall be 2 20 appointed in the same manner as the original appointment for 2 21 the duration of the unexpired term. A director is eligible 2 22 for reappointment. This subsection shall not apply if a 2 23 chapter 28E agreement entered into under this chapter provides 2 24 an alternative for the length of term, appointment, and 2 25 reappointment of directors. 2 26 4. A board may provide procedures for the removal of a 2 27 director who fails to attend three consecutive regular meetings 2 28 of the board. If a director is so removed, a successor shall be 2 29 appointed for the duration of the unexpired term of the removed 2 30 director in the same manner as the original appointment. The 2 31 appointing governing body may at any time remove a director 2 32 appointed by it for misfeasance, nonfeasance, or malfeasance 2 33 in office. 2 34 5. A board shall adopt bylaws and shall elect one director 2 35 as chairperson and one director as vice chairperson, each for a 3 1 term of two years, and shall appoint a secretary who need not 3 2 be a director. 3 3 6. A majority of the membership of a board of directors 3 4 shall constitute a quorum for the purpose of holding a meeting 3 5 of the board. The affirmative vote of a majority of a quorum 3 6 shall be necessary for any action taken by a district unless 3 7 the district's bylaws specify those particular actions of the 3 8 district requiring a greater number of affirmative votes. A 3 9 vacancy in the membership of the board shall not impair the 3 10 rights of a quorum to exercise all the rights and perform all 3 11 the duties of the district. 3 12 Sec. 5. NEW SECTION. 385.5 Activities coordination. 3 13 In all activities of an energy district, the district 3 14 may coordinate its activities with the department of natural 3 15 resources, the economic development authority, the department 3 16 of commerce, the department of public safety, and councils of 3 17 governments and regional and local agencies. 3 18 EXPLANATION 3 19 The inclusion of this explanation does not constitute agreement with 3 20 the explanation's substance by the members of the general assembly. 3 21 This bill authorizes a county, a county and one or more 3 22 cities within that county, or one or more cities within the 3 23 same county to create an energy district by Code chapter 28E 3 24 agreement. 3 25 The bill provides that a city located within the boundaries 3 26 of more than one county may participate in an energy district 3 27 formed from one of the counties where the city is located, and 3 28 the district shall serve the entire city. The Code chapter 28E 3 29 agreement establishing a district must include a map showing 3 30 the boundaries of the district. 3 31 The bill provides that an energy district may provide 3 32 technical assistance and energy planning services to 3 33 residents in the district relating to opportunities for energy 3 34 improvements, as defined in the bill, including identifying 3 35 financial assistance sources, monitor and establish goals for 4 1 energy usage and production, assist with compliance of the 4 2 state building code energy conservation requirements, and 4 3 take any action consistent with the state goal to efficiently 4 4 utilize energy resources in accordance with Code section 473.3 4 5 ("energy resource management goal"). 4 6 The bill provides that an energy district shall be governed 4 7 by a board of directors who are residents of the district and 4 8 who are appointed by the governing bodies of the participating 4 9 county or cities, as applicable. Unless otherwise stated 4 10 in the Code chapter 28E agreement, directors are to serve 4 11 staggered terms of four years. A board may establish 4 12 procedures for the removal of a director who fails to attend 4 13 three consecutive meetings. The governing body that appointed 4 14 a director may at any time remove a director for misfeasance, 4 15 nonfeasance, or malfeasance in office. A board must adopt 4 16 bylaws. A majority of the membership of a board constitutes 4 17 a quorum for holding a meeting and the affirmative vote of a 4 18 majority is necessary for taking action. The agreement shall 4 19 specify the composition of the board and the number of members 4 20 on the board. 4 21 The bill provides that an energy district may coordinate 4 22 its activities with the department of natural resources, the 4 23 economic development authority, the department of commerce, the 4 24 department of public safety, and councils of government and 4 25 regional and local agencies. LSB 5690XS (3) 86 gh/sc